Section 152: Arrangement binding on creditors
consolidated text (as at 2017, amended since). juris shows the text as it was consolidated; it does not confirm that this is the law in force today.
152. Arrangement binding on creditors
(1) Any arrangement entered into between a company about to be or in
the course of being wound up voluntarily and its creditors shall, subject to
subsection (4), be binding—
(a) on the company if sanctioned by a special resolution; and
(b) on the creditors if acceded to by—
(i) three-fourths in value of the creditors; and
(ii) one-half of the number of persons who are creditors for
5,000 rupees or more.
(2) A creditor shall be accounted a creditor for such sum as appears to
be the balance due to him upon an account fairly stated, after allowing the
value of security or liens held by him and the amount of any debt or set-off
owing by him to the debtor.
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Insolvency Act
(3) Any dispute with regard to the value of any security or lien or the
amount of a debt or set-off may, on the application of the company, the liquidator or the creditor, be settled by the Court.
(4) A creditor or contributory may, within 21 days from the completion
of the arrangement, appeal to the Court against it, and the Court may
amend, vary or confirm the arrangement.